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The mathematician of the Complutense University of Madrid, José-Vidal Ruiz Varela, argues that Europe must raise its borrowing limit, leaving its deflationary policy. Meanwhile, USA must correct debt and raise the interest rates. Raising the interest rates in the USA and dropping them in Europe, recovers the European domestic demand and EE.UU may return to invest in Europe, with a stronger dollar, without any problem, generating hundreds of thousands of Jobs

The Federal
Reserve will not be in a hurry to raise short-term interest
rates, even after the unemployment rate comes down markedly, Chairman
Ben
Bernanke said

The Fed has set an unemployment rate threshold of 6.5%
for the first rate hike from the current near-zero levels that have been in
place since December 2008

The central bank has gone to great pains to stress
that this tool is separate from the bond-buying program

The jobless rate was
7.6% in June

Bernanke said the central bank will be in no rush to
hike rates once the threshold is reached“There will not be an automatic increase in interest
rate when unemployment hits 6.5%,” Bernanke said in the question-and-answer
session of a speech to economistsGiven the weakness of the labor market, and low
inflation “it may be well sometime after we hit 6.5% before rates reach any
significant level,” Bernanke added The Fed chairman drew a clear distinction between asset
purchases and rate hikesThe purpose of the asset purchases is to give the
economy some forward momentum, Bernanke saidHe said that it is too early to tell if the economy had
weathered the headwinds from fiscal policy and said the U.S. still faces
“significant risks”He also said that the unemployment rate probably
understates the weak condition of the labor marketAnd he stressed that the Fed was concerned about the
current very low inflation rate
If inflation does not move up closer to the central
bank’s 2% target, “that would be a good reason to remain accommodative,” he
saidBernanke defended his decision to lay out a potential
timetable for winding down asset purchases after the Fed’s last meeting
The Fed chairman said the central bank could start
winding down its $85 billion a month bond-buying program later this year and end
it altogether by mid-2014“Notwithstanding some volatility that we’ve seen in the
last six weeks, speaking now and explaining what we are doing might have avoided
a much more difficult situation,” he said If financial conditions tighten too much to jeopardize
the Fed’s goals, “we would have to push back,” he saidAt the moment, “with some luck,” positive factors will
generate faster growth and labor market improvement through the rest of the
year, he said
Bernanke spoke after the central bank released the
minutes of the Fed’s last policy-making meeting.The minutes show a wide range of views among the central
bankers on when to start to wind down the asset purchases

But about half of the Fed’s top 19 officials said it
would be appropriate to end the asset purchase plan late this year.